If the auditor's assessment of audit risk is low (e.g. ,1% rather than 5%),what is the effect on the amount of substantive testing performed by the auditor?
A)Increase in substantive testing.
B)Decrease in substantive testing
C)No change in substantive testing.
D)Substantive testing is not needed.

Question

Quizplus · Accepted Answer

When the auditor's assessment of audit risk is low, they need to gather more evidence to support this low level of risk, which typically results in an increase in substantive testing.

If the Auditor's Assessment of Audit Risk Is Low (E